Eramet Argentina Lithium Production Begins with Technical Setbacks but 2025 Target Holds

Eramet

Eramet Argentina lithium production has officially commenced, with the French miner reporting 440 tonnes of lithium carbonate equivalent (LCE) in Q1 2025. Despite a slow start due to technical issues, the company maintains its annual production guidance and remains committed to scaling up output from its pioneering direct lithium extraction (DLE) facility.

Technical Hurdles Delay Ramp-Up at Eramine JV

Eramet, in partnership with China’s Ganfeng Lithium through its Eramine joint venture, faced initial challenges as a key brine concentration unit malfunctioned. As a result, only 40 tonnes of LCE were sold in Q1—just 9% of total quarterly output. However, this was Eramine’s first full quarter of production following its initial LCE batch in December 2024.

The company still expects to produce between 10,000 and 13,000 tonnes of LCE in 2025, roughly half of the plant’s nameplate capacity of 24,000 tonnes per year. Eramet emphasized that recovery from the technical fault is underway and long-term production goals remain unchanged.

Argentina Hosts First Commercial-Scale DLE Operation

Eramet operates the only commercial-scale DLE facility currently active in Argentina, setting a benchmark in Latin America’s lithium sector. While the LCE produced is high purity, it is not yet battery-grade. So far, sales have been limited to a Chinese cathode materials producer—an early customer validating Eramine’s product in a competitive market.

This operational milestone reinforces Argentina’s role as a future lithium hub and Eramet’s ambition to secure a foothold in the global battery materials supply chain.

Broader Portfolio Supports Growth Strategy

Eramet’s total Q1 revenue stood at €742 million ($845 million), flat year-on-year. Lithium, along with nickel, manganese, and mineral sands, contributed over 60% of the company’s revenue. The diversified portfolio provides financial resilience as the lithium operation ramps up and stabilizes.

The Metalnomist Commentary

The Eramet Argentina lithium production launch highlights the promise and challenges of scaling direct lithium extraction at commercial levels. While the start was modest, Eramet’s technology-first approach and global partnerships position it as a strategic player in the evolving lithium landscape.